GENERAL23 Sept 2026
RBI absorbs ₹75,026 cr via overnight VRRR auction amid surplus liquidity
The RBI pulled ₹75,026 crore out of banks on Wednesday through an overnight auction called variable rate reverse repo (VRRR), accepting bids at 5.24%. The aim is to soak up extra cash and keep overnight rates near the repo rate. Banking liquidity is still surplus at about ₹4.45 lakh crore as on September 22. The RBI is mopping up this extra cash in stages.
Key Statutory Highlights
- The RBI absorbed ₹75,026 crore from the banking system through an overnight variable rate reverse repo auction on Wednesday.
- Banks bid ₹87,993 crore against the notified ₹75,000 crore, and bids were accepted at a cut-off and weighted average rate of 5.24 per cent.
- Banking system liquidity was in surplus of around ₹4.45 lakh crore as on September 22, and the RBI also sold government securities worth ₹50,000 crore on September 17 and ₹25,000 crore on September 21.
Actionable Advice for Taxpayers / Founders:Keep an eye on your bank's short-term deposit and lending rates over the next few weeks, and check current rates before locking in surplus cash. For any large borrowing or treasury decision, confirm the numbers with your CA first.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
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